Consultant and engineering design firm Hyder,which employs 180 people at its base in Aston, has seen its annual profits shoot up by more than 80 per cent.

The company said that profits before tax, exceptionals and goodwill amortisation climbed 81 per cent to £4.4 million for the year to March 31.

Turnover rose 11 per cent to £136 million - mainly as a result of strong growth in Australia and acquisitions made during the year - while operating profits were up 86 per cent to £5.6 million.

Hyder also announced a near doubling of its annual dividend payment.

The final dividend came in at 0.55p a share, up from the previous year's 0.4p, bringing the full year payout to 0.75p from 0.4p last time.

At the same time, the consultancy was upbeat about its prospects on the back of a ten per cent increase in the size of its order book to £185 million.

Chairman Sir Alan Thomas told shareholders: "It has been a very good year. We have improved the margin, built the order book and acquired some good businesses."

Turning to the company's trading performance, Sir Alan said: "Overall, trading in the second half improved in line with expectations, with most of our markets remaining firm.

"In the UK the general reduction in work in the water sector ahead of the regulator's price determination affected performance, as did the slower than expected start-up to the latest phase of the Defence Estates PSP project.

"Performance was strong in the transport sector, where we are increasingly integrating new technologies into transport systems."

Chief executive Tim Wade also said: "Our people have really responded to the challenges of the last year."

During the year Hyder acquired two UK firms, Ashact and Marcus Hodges Environment, and in Dubai, Roberts and Partners International.

Mr Wade said: "The acquisitions made in July and September last year are performing in line with expectation and have started to make useful contributions following a slightly extended integration period.

"To fund further strategic acquisitions we raised a net £12.3 million by way of an open offer and placings in July 2004 and March 2005.

"We are actively pursuing a pipeline of acquisition prospects and expect to complete some of these over the coming months which will help us to drive up our operating margins further."

Mr Wade said that the acquisition of mechanical and electrical engineering specialist Roberts and Partners International in July had substantially increased the firm's property market capabilities.